Why did LEG's Q4 2024 earnings surprise analysts?

Leggett & Platt's (LEG) Q4 2024 earnings did not meet analysts' expectations, as evidenced by an EPS surprise of -0.04, which represents a -3.23% change from the last price. This negative surprise indicates that the company's actual performance fell short of analysts' forecasts. Here are the key reasons for this disappointing outcome: 1. **Challenging Market Conditions**: The company has been navigating through challenges, including a decline in demand for certain products, particularly within the Specialized Products and Furniture and Flooring segments. These market conditions have impacted revenue and profitability. 2. **Strategic Restructuring**: Leggett & Platt is in the process of executing a restructuring plan aimed at improving EBIT benefits. However, the transition phase can sometimes lead to short-term disruptions that affect financial performance, as seen in the Q3 results. In summary, the Q4 2024 earnings of Leggett & Platt were below analysts' expectations due to challenging market conditions and strategic restructuring efforts.